Kerala High Court
The Commissioner Of Income Tax vs Bses Kerala Power Ltd on 14 August, 2009
Bench: C.N.Ramachandran Nair, C.K.Abdul Rehim
IN THE HIGH COURT OF KERALA AT ERNAKULAM
ITA.No. 1191 of 2009()
1. THE COMMISSIONER OF INCOME TAX,
... Petitioner
Vs
1. BSES KERALA POWER LTD.,
... Respondent
For Petitioner :SRI.JOSE JOSEPH, SC, FOR INCOME TAX
For Respondent : No Appearance
The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR
The Hon'ble MR. Justice C.K.ABDUL REHIM
Dated :14/08/2009
O R D E R
C.N.RAMACHANDRAN NAIR & C.K.ABDUL REHIM, JJ.
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I.T.A. No.1191 of 2009
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Dated this the 14th day of August, 2009
J U D G M E N T
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Ramachandran Nair,J.
Heard the senior counsel appearing for the appellant. Question raised pertains to assessee's entitlement for deduction of Rs.2450 lakhs in the computation of book profit under 115JB of the Income Tax Act. It is seen from the findings of the first appellate authority and Tribunal that the expenditure claimed is based on arbitration award partly confirmed by the District Court. The only contention of the Revenue is that the matter was carried in appeal by KSEB to Supreme Court and liability arose only after Supreme Court dismissed the appeal. We are unable to accept this contention because the award had become final and based on the arbitration award confirmed by the District Court and High Court the assessee is entitled to claim the expenditure. We therefore hold that the findings of the CIT (Appeals) as confirmed by the Tribunal is perfectly in order. The appeal is consequently dismissed.
C.N.RAMACHANDRAN NAIR, JUDGE.
C.K.ABDUL REHIM, JUDGE.
okb